Insights from the Bitcoin.com News Podcast
In a recent episode of the Bitcoin.com News Podcast, Mauricio Di Bartolomeo, co-founder and Chief Strategy Officer of Ledn — a prominent firm specializing in bitcoin-backed loans — shared insights on the current market and the transformative role of cryptocurrency.
Di Bartolomeo’s Journey to Cryptocurrency
Di Bartolomeo’s journey to cryptocurrency began in his homeland of Venezuela, where he witnessed the devastating effects of hyperinflation, government instability, and bank failures first-hand. During these turbulent times, his family discovered Bitcoin mining, which ultimately enabled his brother to migrate with his wealth securely stored on a hardware wallet. This unique experience solidified their belief in Bitcoin as a path to economic liberation.
Co-founding Ledn
Drawing from his own background, Di Bartolomeo co-founded Ledn to address the financial barriers faced by Bitcoin miners and holders — primarily, the challenge of obtaining financing without liquidating their cryptocurrency assets. Ledn’s bitcoin-backed loans present an innovative solution, offering clients in Latin America the same competitive rates and terms typically available only in Europe and North America. This approach to lending represents a significant stride toward financial inclusion, granting many individuals in the region their very first loan approvals — an opportunity historically scarce in traditional banking systems.
Strategic Pivot and Market Potential
The conversation also covered Ledn’s strategic pivot to focus solely on Bitcoin, following a time when the company briefly supported Ethereum during the Celsius bankruptcy crisis. Di Bartolomeo articulated this shift as a move towards greater simplicity and transparency, underscoring Ledn’s unwavering faith in Bitcoin’s long-term potential. He introduced the idea that the market for Bitcoin-backed loans could become a multi-trillion-dollar industry, with Ledn positioning itself to lead by providing superior service within this niche, adhering to the philosophy that streamlined offerings can drive excellence.
Commitment to Transparency
A significant part of Ledn’s commitment to transparency involves its innovative Proof of Reserves protocol, which ensures that external accountants validate the assets held by the company against its liabilities biannually — with plans to increase this frequency to monthly reviews. This verification process is critical, especially in light of the failures seen in other crypto lending firms like FTX, and serves as a protective measure for clients’ investments.
The New Carry Trade
Furthermore, Di Bartolomeo discussed the emerging “new carry trade.” This strategy involves leveraging a declining currency, such as the US Dollar, to invest in a resilient asset like Bitcoin. He illustrated this concept with the story of a client who purchased a house without selling their Bitcoin, which subsequently grew in value fivefold. This method not only minimizes tax implications but also mirrors the asset management strategies of affluent individuals, allowing Bitcoin holders to enhance their wealth while holding onto their assets.
Skepticism Towards Traditional Banks
As traditional banks start to venture into Bitcoin services, Di Bartolomeo expressed skepticism about their motivations, suggesting that their fractional reserve practices conflict with Bitcoin’s foundational principles of full reserves. In contrast, Ledn, as a regulated entity operating continuously in the volatile cryptocurrency market, aspires to create a robust financial institution — likened to a “Fort Knox” — ensuring the sustainability of wealth across generations.
Learn More
To discover more about Ledn and its innovative financial products, visit Ledn.io and stay updated with the team on X. The Bitcoin.com News Podcast serves as a platform for engaging discussions with influential figures in the realms of cryptocurrency, decentralized finance, NFTs, and the metaverse, available on iTunes and Spotify.
